Electronic Federal Tax Payment System (EFTPS)

I got word over one of the Freelancer lists that I am on reminding everyone that the last estimated tax payment for 2006 is due on January 16. Another member of the list pointed out that you can use the IRS electronic payment system to pay online.

The Electronic Federal Tax Payment System (EFTPS) is a free service provided by the U.S. Department of the Treasury that allows all federal tax payments to be made electronically. Including corporate, excise and employment taxes, and 1040 quarterly estimated tax payments.

From the EFTPS FAQ:

"Who can use EFTPS?

Any individual taxpayer making payments for Forms 1040, 706 estate, 709 gift taxes or installment payments can use EFTPS-OnLine.

Any business taxpayer can use EFTPS. Some business taxpayers are required to use EFTPS because they have met certain criteria. Specifically, if your total deposits of designated federal taxes (including employment taxes, income taxes, Railroad Retirement taxes, Social Security taxes, and various other types of non-payroll withholding) during a calendar year exceed $200,000, you are required to use EFTPS beginning in the second succeeding calendar year. For example: if you had more than $200,000 in deposits of designated taxes in calendar year 2002, you will be required to use EFTPS beginning January 2004. Once you are required to use EFTPS, you will continue to be required in subsequent years, even if your annual tax deposits fall below $200,000."